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A Win for Uber? Controversial Rideshare Service Gets Taxi Brokerage License

January 24th, 2016  |  Canadian Business

The big news came on Friday, January 22. Toronto has officially granted Uber a taxi brokerage license, putting Uber right in line with its fiercest rivals: cab companies.

Uber Canada spokesperson Susie Heath made the announcement last week. She asserts that this move proves that Uber is cooperating with the city’s demands to regulate ridesharing. She promises that Uber and the City of Toronto will continue working together to address other outstanding regulatory concerns.

But CBC News reports that Uber’s new taxi brokerage license doesn’t affect UberX, the real regulatory outlier, at all. UberX continues to connect drivers without taxi licenses to riders looking for cheap transit -- a service that Toronto says is illegal.

While Aviva has pledged to roll out rideshare car insurance, most UberX drivers are relying on their personal auto policies in the meantime. But a standard personal auto policy won’t cover claims that emerge from rideshare incidents. UberX drivers and passengers are still travelling at risk.

Image Courtesy of Adobe Stock